RBI-backed digital currency has been a popular idea. In 2022, it could be translated into an e-Rupi. RBI will have to decide the design of this currency. Would RBI deal directly with customers providing him e-Rupi wallet? Will e-Rupi deposits attract interest? If yes, would it affect the bank deposits? If no, what more would e-Rupi achieve than the UPI-based payment system of digital transfers is already doing? These issues have significant implications. These have bearing an digital payments, banking and financial systems.

The central-bank-backed-digital-currency is certain to come. However, the devil is in the details.